By Donna Horowitz (The Life Settlement Report) – Resscapital to Start Second Life Settlement Fund
The Stockholm-based fund manager has hired KPG Capital Partners as its placement agent.
Updated on April 26, 2024, 11:52 AM ET
Resscapital AB is starting its second life settlement fund.
Jonas Martenson, founder of Resscapital, posted a recent statement on LinkedIn saying his Stockholm-based firm was working with Kenneth Gettinger and his team at KPG Capital Partners to raise money.
He said in an email on Tuesday, April 23, that “we don’t have much to communicate except that we’re launching a second fund.”
Neither he nor Gustaf Hagerud, managing director of Resscapital, responded to follow-up questions about their new fund, including the capital-raising target and the estimated launch date.
Gettinger, a placement agent in Park City, Utah, also didn’t answer questions about his fundraising efforts for Resscapital and whether he has ever raised money for life settlements before. His website doesn’t mention any work in life settlements.
KPG Capital acts as a placement agent for real estate investment managers and works with private equity and hedge fund businesses in various assets, according to the firm’s website.
In December, Martenson said in an email that his focus was on choosing a U.S. placement agent and the targeted launch was anticipated for the third quarter of this year.
He conceded in a prior email in September that higher interest rates were making it challenging to raise new capital, but he said that many investors are still attracted by the fact that returns in this asset class are fundamentally uncorrelated.
He said then the launch of Resscapital’s closed-end fund was set for the first quarter of this year, saying “capital raising is well underway.”
Last April, Cristina Lugaro, former director of institutional sales for the Nordic markets at Resscapital, said the firm hadn’t been able to raise capital for a closed-end fund because of the difficulty of raising money for the asset in Europe, where it’s “not as popular” as the U.S. and the “ethical aspect of the strategy is highly questioned.”
Martenson responded at the time, however, that the company still planned to launch a closed-ended fund late that year.
He also said that the assets under management at the fund managed by Resscapital were at a record level, exceeding $400 million and that most of Ress’ investors are institutional investors in Europe.
In August, Ress Life Investments A/S reported a net loss of $780,933 for the first half of the year. The Copenhagen-based fund, managed by Resscapital, had released the fund’s financial results for the period ending June 30. As of June 30, the fund held 517 policies with more than $1.3 billion in face amount.
The net performance for its fund last year was 1.60%, the third lowest since it started in May 2011. For the first three months of this year, the fund’s performance was 1.51%.
The fund’s shares trade on the Nasdaq Copenhagen Nordic Alternative Investment Funds Market under the ticker RLAINV.
The fund has clients worldwide, including in Sweden, Singapore, the Netherlands, Switzerland, Finland, Spain, the U.S., Luxembourg, Denmark, China, and the U.K. It is open to professional and accredited investors in most countries of the European Union, Switzerland and Singapore as well as retail investors in Sweden and Denmark.
